Info Edge Earns 36% IRR from Startup Bets, Sees 10x Returns

Info Edge’s startup success stories continue to grow as the company recently announced a 36% return on its startup investments, as reported by Outlook Business. Renowned for supporting India’s most high-performing technology startups, Info Edge has yet again shown why it’s an important pillar of the startup ecosystem.

This profit is a result of smart early investments, timely exits, and continuous support of high-growth startups in a variety of industries, like technology and consumer internet ventures. The company has invested a total of ₹3,959.16 crore in various startups over the past 15 years. Today, these investments are worth ₹36,855 crore based on their fair market value (FMV).

Sanjeev Bikhchandani, founder and CEO, Info Edge, wrote in a letter, “Since we started our financial investing activity in 2007, we have achieved an estimated 36 per cent gross IRR across all vintages put together.”

Zomato and Other High-Profile Investments

Much of the focus remains on Info Edge’s investments in Zomato and Policybazaar, its most successful businesses to date. Info Edge’s early investments in Zomato and Policybazaar were ₹483.78 crore and ₹591.40 crore, respectively. Today, the value of its holdings in these two businesses stands at over ₹31,500 crore. Zomato and Policybazaar, hold a market capitalization of over ₹2.5 lakh crore.

Apart from Zomato, Info Edge has also invested in businesses in other sectors like education, fintech, job portals, and real estate. Having gained from these major investments, Info Edge broadened its portfolio by backing other startups like Ustraa, Shopkirana, Adda247, Zingbus, ixigo, and numerous others.

The company started the SEBI-registered Info Edge Venture Fund in 2019, focusing on providing capital to early-stage startups. The three-fund structure has a combined size of ₹3,422.94 crore, with Info Edge providing ₹1,613.75 crore.

The CEO wrote, “We first started investing in early-stage technology startups around 18 years ago in 2007. This investing activity today contributes to an estimated 30-40 per cent of the value of the company if analyst reports are to be believed – second only to the contribution of Naukri.com.”

Strengthening the Startup Ecosystem

Beyond investing, Info Edge plays a broader role in the Indian startup ecosystem. It supports founders with resources, expert advice, and valuable connections that help them navigate India’s complex business landscape. Its continued focus on innovation, scalability, and sustainable growth makes it a preferred partner for entrepreneurs.

Info Edge Capital’s biggest bet, Bluestone Jewellery and Lifestyle Pvt Ltd, has also seen follow-on investments from large investors such as Prosus (part of Naspers group), Peak XV, and Steadview Capital. The firm has also submitted its Draft Red Herring Prospectus (DRHP) to SEBI and is gearing up for an IPO within the next few months.

The strong performance of Info Edge’s startup investments highlights the importance of patience, strategic vision, and active support in building successful startups. With the Info Edge Venture Fund actively scouting new opportunities and the company’s sharp investment instincts, the future looks bright for both Info Edge and the startups it backs.

Sanjeev Bikhchandani said, “While the AIF vehicles are still relatively nascent (early stage investing usually needs 7-8 years for promising companies to achieve meaningful scale in revenue and market share), several portfolio companies are already showing early promise with strong revenue growth, breakeven/profitability, leadership in their space and follow-on funding led by new external investors. We have invested in 111 companies across the years, not including investments in startups in the spaces that Info Edge has operating businesses. Out of these, 76 companies have institutional co-investors/follow-on investors.”